From Department of Public Expenditure, NDP Delivery and Reform
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Today (25th October), the Minister for Public Expenditure and Reform, Michael McGrath T.D. secured Government approval for Ireland’s two ERDF Programmes for the period 2021 – 2027. The ERDF Programmes have been negotiated with the EU Commission over the summer. Commission approval and adoption of the Programmes is anticipated before the end of the year.
The two ERDF Programmes set out Ireland’s investment strategy for €853 million, of which €396 million is financed by the EU. The ERDF supports Irish regions in promoting economic, social and territorial cohesion in line with key EU priorities.
The programme covering the area north west of the country is to be managed by the Northern and Western Regional Assembly (NWRA) and the programme covering the midlands, south and east of the country is to be managed by the Southern Regional Assembly (SRA), with significant collaboration from the Eastern and Midlands Regional Assembly (EMRA).
Commenting on the agreement of the ERDF Programmes, Minister McGrath said:
“We have secured €396 million of EU funding for the ERDF programmes. When national co-financing is included the programmes total over €850 million for the period out to 2027. The programmes will focus on three strategic outcomes. The first is the focus on developing smarter more competitive regions through measures like building RD&I capacity in public research institutions and by strengthening regional innovation systems in line with Ireland's Smart Specialisation Strategy and the Regional Enterprise Plans. Second, it will also support actions to scale up energy efficiency measures for those in energy poverty. Finally, it will support the sustainable regeneration of towns and urban centres using a Town Centres First Framework.
"I look forward to the adoption of the programmes by the European Commission in the coming weeks. This will be followed by the launch and implementation of the programmes by the Northern and Western Regional Assembly and the Southern Regional Assembly in conjunction with my department over the coming months.”
Notes for Editors
EU Cohesion Funding
Within Ireland the Minister for Public Expenditure and Reform has overall responsibility for EU Cohesion Policy and primary responsibility for the ERDF. Cohesion policy is the European Union's strategy to promote and support the ‘overall harmonious development’ of its Member States and regions by strengthening economic, social and territorial cohesion through measures aimed at reducing disparities in the level of development between regions.
The Common Provisions Regulation (Regulation 2021/1060 of the European Parliament and of the Council of 24 June 2021 laying down common provisions) govern 8 EU Funds:
1. European Regional Development Fund (ERDF)
2. European Social Fund Plus (ESF+)
3. European Maritime, Fisheries and Aquaculture Fund (EMAFF)
4. Just Transition Fund (JTF)
5. Cohesion Fund
6. Asylum and Migration and Integration Fund (AMIF)
7. the Internal Security Fund (ISF)
8. the Border Management and Visa Instrument (BMVI)
As Ireland is not part of Schengen, the BMVI instrument does not apply.
Partnership Agreement
The Department of Public Expenditure and Reform has responsibility as ‘Member State’ for developing a Partnership Agreement (PA). Minister McGrath launched the Partnership Agreement with Commissioner for Regional Affairs Elisa Ferreira on 16 September.
The adoption of the Partnership Agreement enables Ireland to access the Cohesion Policy Funding for the programmes covered by the Partnership Agreement. Ireland will receive a total of €1.4 billion (in current prices) in Cohesion Policy Funds. When the requirement for match funding is included the full value of the programmes supported by these allocations amounts to almost €3.5 billion. In addition, smaller amounts of funding are available for the Asylum, Migration and Integration Fund (AMIF) and the Internal Security Fund (ISF).
ERDF Programmes
Ireland’s ERDF allocation for the 2021 – 2027 period amounts to circa €396 million, and with national co-financing the total ERDF programmes will amount to over €853 million over the period. The focus of the Funds is shaped by the Common Provision Regulations, which provides that the Funds as a whole shall support the following broad Policy Objectives:
1. A smarter Europe – innovative and smart economic transformation. ERDF investment under this objective are informed by the development of DETE’s recently published Smart Specialisation Strategy for Innovation 2022-2027 (S3) and the Regional Enterprise Plans . S3 is an essential requirement for drawdown of ERDF funds under this policy objective
2. A greener, low-carbon Europe – by promoting clean and fair energy transition
3. A more connected Europe – mobility and regional ICT connectivity
4. A more social Europe – implementing the European Pillar of Social Rights
5. Europe closer to citizens – sustainable and integrated development of urban, rural and coastal areas through local initiatives
A ministerial decision on 22 October 2020 appointed the Regional Assemblies to act as Managing Authorities for the ERDF Programmes for the 2021 – 2027 programming period. From an administrative and planning point of view, Ireland is divided in to three regions: the Northern and Western, Southern, and Eastern and Midland Regional Assembly areas. The European Commission classifies regions within the EU as either being a “Less Developed Region”, (up to 74% of EU 27 Average), a “Transition Region” (75%-100% of EU27 Average), or a “More Developed Region”, (over 100% of the EU average) based on their GDP per head of population relative to the EU27 Average. For this programming period the Northern and Western region has changed from a “More Developed Region” to a “Transition Region”. Both the Southern and Eastern and Midland Regional Assembly areas are classed as “More Developed Regions”.
Reflecting the two different EU classifications of the development status of different regions in Ireland, there are two ERDF programmes. The programme covering the area designated as ‘Region in Transition’, is to be managed by the Northern and Western Regional Assembly (NWRA) and the programme for the two regions designated as ‘More Developed’, is to be managed by the Southern Regional Assembly (SRA), with significant collaboration from the Eastern and Midlands Regional Assembly (EMRA).
Managing Authority Function
The Managing Authority is responsible for managing the Programmes they provide information on the programme, assist in the selection of eligible projects and monitor implementation. The functions of the MA are set out under the Common Provisions Regulation (CPR) and include:
ENDS